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Indian Healthcare Industries Show Resilience in the Face of Slowdown by Recording Double Digitgrowth - Indian economy saw a period of slowdown in fiscal year 2012. The country recorded a GDP growth of 5.3% in the fourth quarter which was its worst performance in last nine years - EmergingMarketsDirect.com
Indian Healthcare Industries Show Resilience in the Face of Slowdown by Recording Double Digitgrowth

 

NewswireToday - /newswire/ - Beverly, MA, United States, 2012/09/20 - Indian economy saw a period of slowdown in fiscal year 2012. The country recorded a GDP growth of 5.3% in the fourth quarter which was its worst performance in last nine years - EmergingMarketsDirect.com.

   
 
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However, Indian healthcare industry continued to show resilience in the face of slowdown with leading healthcare players recording a double digit growth, both in revenues and net profits. The industry is growing at a CAGR of 15% and is expected to cross USD 75 bn by the end of calendar year 2012.

The country’s government spending on infrastructure is low, approximately 1.2% of GDP in 2010. Fiscal year 2012 saw a 13% increase in government budget allocation to the flagship programme named National Rural Health Mission (NRHM). The programme has been quite successful in raising the standards of people’s health, healthcare infrastructure and healthcare delivery across the country within a short span of seven years. However, the country is likely to miss the healthcare targets for 2015 under Millennium Development Goals.

Huge demand supply gap exists in the healthcare sector of India. The country was lagging behind in terms of average number of hospitals, hospital beds, doctors, nurses and other paramedical staff. The huge population accompanied with large prevalence of communicable and non-communicable diseases demands large scale development and growth in this sector. Private sector is playing a big role in this regard accounting for more than 70% of country’s health expenditure.

The outlook for Indian healthcare is positive owing to double digit growth rate in almost all of its segments, whether its primary healthcare, secondary and tertiary healthcare, medical equipments, disgonotics, health insurance or medical tourism. The ever growing population, increasing government expenditure on health and growing per capita income will increase the size of this industry in the years to come.

 
 
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Indian Healthcare Industries Show Resilience in the Face of Slowdown by Recording Double Digitgrowth

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